Understanding the national budget

The Namibian youth have been implored to take great interest in the national budget processes.
Octavia Tsibes
Many young people are not interested in Namibian politics. They appear disillusioned with politics and don’t even show an interest in the national budget, which has a huge impact on their lives.

“It is very important for young Namibians to show interest in politics,”

Hessen Ashipala, a youth activist said.

He further said that the national budget is very important for the youth because it has an impact on their future.

According to the citizen’s guide for the national budget, the budget is a financial plan that details how the government intends to raise money and how it intends to spend it.

The budget covers the financial year, which in Namibia runs from April 1 to March 31 of any given financial year, consisting of 12 months.

The major recipients of funds in the 2019/20 budget are the Ministry of Education, Arts and Culture, which is to be allocated N$13.7 billion, the Ministry of Finance, which is to receive N$10.8 billion, the Ministry of Health and Social Services, with an allocation of N$6.8 billion, the Ministry of Defence, which is set to receive N$5.9 billion, and the Ministry of Safety and Security, for which N$5.5 billion is earmarked.

Crucial

The national budget is important since it plays a crucial role in providing the necessary financial resources to the government to spend on the implementation of its national development goals.

The new budget is focused on the following six themes:

• Maintaining pro-growth fiscal consolidation: making impact where is

matter.

• Strengthening macroeconomic fundamentals and rebuilding fiscal

sustainability.

• Supporting inclusive growth and economic diversification.

• Contributing to the eradication of poverty and the improvement of social

welfare.

• Further contributing to reduction of income inequalities and achieving

shared prosperity.

• Delivering timely, reliable and affordable public services and meeting

government contractual obligations.

According the citizens’ guide, the government mobilises financial resources in different ways in order to attain the above-mentioned national development aspirations.

During an interview with finance minister Calle Schlettwein at a PWC Budget Review dinner, he explained that a lot of factors are considered before drafting a budget.

“The first criteria our ministry looks at is how much money is available. We also look at how much revenue we collected and how it could be distributed.

Secondly, we look at how much we can borrow. Once you have those two factors in check, then you will know what your total envelope is,” he said.

He continued by adding that the budget looks at the country’s most immediate needs.



Education

Basic and higher education will, as usual, receive the bulk of government’s money and have been allocated N$12.5 billion and N$3.1 billion respectively.

Among educational institutions, the University of Namibia was allocated

N$912 million during 2019/20, compared to N$960 million in 2018/19, while the Namibia University of Science and Technology will receive N$500 million – N$100 million less than the N$600 million the institution received in the 2018/19 financial year.

“A decrease is always a problem for an institution because each institution has an academic lifestyle it needs to maintain. What the budget does is it allows us to reach a certain standard of quality but when it keeps fluctuating it is hard to maintain consistency in quality, resulting in such poor ranking institution outside Namibia,” Kudzai Sibanda, current SRC president of the University of Namibia (Unam) said. Sibanda added privately-funded students more, especially those who owe Unam, may only fear that institutions might use the budget as an excuse to not allow all students to write examination.

Shoki Kandjimi says higher education plays an important role and should be given priority as well.

He further added that budget cuts can never be positive because institutions struggle to make ends meet.

“An institution such Namibia University of Science and Technology (Nust), it relies on the budget allocation and when the budget is cut, the equipment needed to improve the quality of education will be affected,” he says.

Comments

Namibian Sun 2024-03-28

No comments have been left on this article

Please login to leave a comment

Katima Mulilo: 19° | 37° Rundu: 17° | 33° Eenhana: 18° | 33° Oshakati: 20° | 31° Ruacana: 19° | 33° Tsumeb: 17° | 29° Otjiwarongo: 16° | 28° Omaruru: 18° | 31° Windhoek: 17° | 28° Gobabis: 17° | 28° Henties Bay: 16° | 19° Wind speed: 24km/h, Wind direction: S, Low tide: 10:54, High tide: 04:57, Low Tide: 22:58, High tide: 17:16 Swakopmund: 15° | 17° Wind speed: 29km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:55, Low Tide: 22:56, High tide: 17:14 Walvis Bay: 16° | 22° Wind speed: 33km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:54, Low Tide: 22:56, High tide: 17:13 Rehoboth: 18° | 29° Mariental: 22° | 32° Keetmanshoop: 21° | 34° Aranos: 21° | 31° Lüderitz: 15° | 29° Ariamsvlei: 23° | 34° Oranjemund: 15° | 21° Luanda: 27° | 30° Gaborone: 20° | 32° Lubumbashi: 17° | 24° Mbabane: 15° | 23° Maseru: 12° | 28° Antananarivo: 16° | 27° Lilongwe: 17° | 29° Maputo: 20° | 28° Windhoek: 17° | 28° Cape Town: 17° | 23° Durban: 21° | 25° Johannesburg: 18° | 28° Dar es Salaam: 26° | 32° Lusaka: 18° | 30° Harare: 15° | 31° Currency: GBP to NAD 23.87 | EUR to NAD 20.44 | CNY to NAD 2.62 | USD to NAD 18.94 | DZD to NAD 0.14 | AOA to NAD 0.02 | BWP to NAD 1.33 | EGP to NAD 0.39 | KES to NAD 0.14 | NGN to NAD 0.01 | ZMW to NAD 0.74 | ZWL to NAD 0.04 | BRL to NAD 3.8 | RUB to NAD 0.2 | INR to NAD 0.23 | USD to DZD 134.29 | USD to AOA 832.63 | USD to BWP 13.71 | USD to EGP 47.35 | USD to KES 130.98 | USD to NGN 1415.13 | USD to ZAR 18.93 | USD to ZMW 25.01 | USD to ZWL 321 | Stock Exchange: JSE All Share Index 74536 Up +0.85% | Namibian Stock Exchange (NSX) Overall Index 1528.69 Up +0.84% | Casablanca Stock Exchange (CSE) MASI 12981.98 Up +0.34% | Egyptian Exchange (EGX) 30 Index 27559.35 Down -2.36% | Botswana Stock Exchange (BSE) DCI Same 0 | NSX: MTC 7.75 SAME | Anirep 8.99 SAME | Capricorn Investment group 17.34 SAME | FirstRand Namibia Ltd 49 DOWN 0.50% | Letshego Holdings (Namibia) Ltd 4.1 UP 2.50% | Namibia Asset Management Ltd 0.7 SAME | Namibia Breweries Ltd 31.49 UP 0.03% | Nictus Holdings - Nam 2.22 SAME | Oryx Properties Ltd 12.1 UP 1.70% | Paratus Namibia Holdings 11.99 SAME | SBN Holdings 8.45 SAME | Trustco Group Holdings Ltd 0.48 SAME | B2Gold Corporation 47.34 DOWN 1.50% | Local Index closed 677.62 UP 0.12% | Overall Index closed 1534.6 DOWN 0.05% | Osino Resources Corp 19.47 DOWN 2.41% | Commodities: Gold US$ 2 219.48/OZ UP +1.31% | Copper US$ 3.98/lb UP +0.01% | Zinc US$ 2 453.50/T DOWN -0.12% | Brent Crude Oil US$ 87.30/BBP UP +1.06% | Platinum US$ 906.04/OZ UP +1.25% Sport results: Weather: Katima Mulilo: 19° | 37° Rundu: 17° | 33° Eenhana: 18° | 33° Oshakati: 20° | 31° Ruacana: 19° | 33° Tsumeb: 17° | 29° Otjiwarongo: 16° | 28° Omaruru: 18° | 31° Windhoek: 17° | 28° Gobabis: 17° | 28° Henties Bay: 16° | 19° Wind speed: 24km/h, Wind direction: S, Low tide: 10:54, High tide: 04:57, Low Tide: 22:58, High tide: 17:16 Swakopmund: 15° | 17° Wind speed: 29km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:55, Low Tide: 22:56, High tide: 17:14 Walvis Bay: 16° | 22° Wind speed: 33km/h, Wind direction: SW, Low tide: 10:52, High tide: 04:54, Low Tide: 22:56, High tide: 17:13 Rehoboth: 18° | 29° Mariental: 22° | 32° Keetmanshoop: 21° | 34° Aranos: 21° | 31° Lüderitz: 15° | 29° Ariamsvlei: 23° | 34° Oranjemund: 15° | 21° Luanda: 27° | 30° Gaborone: 20° | 32° Lubumbashi: 17° | 24° Mbabane: 15° | 23° Maseru: 12° | 28° Antananarivo: 16° | 27° Lilongwe: 17° | 29° Maputo: 20° | 28° Windhoek: 17° | 28° Cape Town: 17° | 23° Durban: 21° | 25° Johannesburg: 18° | 28° Dar es Salaam: 26° | 32° Lusaka: 18° | 30° Harare: 15° | 31° Economic Indicators: Currency: GBP to NAD 23.87 | EUR to NAD 20.44 | CNY to NAD 2.62 | USD to NAD 18.94 | DZD to NAD 0.14 | AOA to NAD 0.02 | BWP to NAD 1.33 | EGP to NAD 0.39 | KES to NAD 0.14 | NGN to NAD 0.01 | ZMW to NAD 0.74 | ZWL to NAD 0.04 | BRL to NAD 3.8 | RUB to NAD 0.2 | INR to NAD 0.23 | USD to DZD 134.29 | USD to AOA 832.63 | USD to BWP 13.71 | USD to EGP 47.35 | USD to KES 130.98 | USD to NGN 1415.13 | USD to ZAR 18.93 | USD to ZMW 25.01 | USD to ZWL 321 | Stock Exchange: JSE All Share Index 74536 Up +0.85% | Namibian Stock Exchange (NSX) Overall Index 1528.69 Up +0.84% | Casablanca Stock Exchange (CSE) MASI 12981.98 Up +0.34% | Egyptian Exchange (EGX) 30 Index 27559.35 Down -2.36% | Botswana Stock Exchange (BSE) DCI Same 0 | NSX: MTC 7.75 SAME | Anirep 8.99 SAME | Capricorn Investment group 17.34 SAME | FirstRand Namibia Ltd 49 DOWN 0.50% | Letshego Holdings (Namibia) Ltd 4.1 UP 2.50% | Namibia Asset Management Ltd 0.7 SAME | Namibia Breweries Ltd 31.49 UP 0.03% | Nictus Holdings - Nam 2.22 SAME | Oryx Properties Ltd 12.1 UP 1.70% | Paratus Namibia Holdings 11.99 SAME | SBN Holdings 8.45 SAME | Trustco Group Holdings Ltd 0.48 SAME | B2Gold Corporation 47.34 DOWN 1.50% | Local Index closed 677.62 UP 0.12% | Overall Index closed 1534.6 DOWN 0.05% | Osino Resources Corp 19.47 DOWN 2.41% | Commodities: Gold US$ 2 219.48/OZ UP +1.31% | Copper US$ 3.98/lb UP +0.01% | Zinc US$ 2 453.50/T DOWN -0.12% | Brent Crude Oil US$ 87.30/BBP UP +1.06% | Platinum US$ 906.04/OZ UP +1.25%